Discover It Student Chrome Review: A Top-Notch Starter Card

With healthy rewards and no FICO credit history requirement, the Discover it® Student Chrome is a solid choice for students who like to dine out.

The $0-annual-fee card features simple, straightforward rewards, making it an outstanding choice for students. It earns 2% cash back at gas stations and restaurants on up to $1,000 in combined quarterly purchases and 1% on all other purchases. Its introductory offer could also stretch your student budget enough to cover a trip to the movies or a dinner out.

» MORE: Best college student credit cards

Discover it® Student Chrome: Basics

Card type: College student.

Annual fee: $0.

Sign-up bonus: INTRO OFFER: Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 into $200. There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match.

Rewards:

• 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases per quarter.

• 1% cash back on all other purchases.

Cash back can be redeemed in any amount for a statement credit, direct deposit, store credit at select merchants — including Amazon — or PayPal credit. If you opt to redeem for gift cards or instant eCertificates from Discover partners, you'll need a minimum of $5 in rewards first.

APR: 0% intro APR on Purchases for 6 months and 10.99% intro APR on Balance Transfers for 6 months, and then the ongoing APR of 18.24%-27.24% Variable APR.

Other benefits:

• Payments are reported to all three major credit bureaus (TransUnion, Equifax and Experian), which helps you build credit.

• No late fee on your first late payment.

• Social Security number alerts, free access to your FICO score, ability to instantly freeze and unfreeze your card and block new purchases when it's misplaced, lost or stolen.

Solid rewards for a starter card

With the Discover it® Student Chrome, you'll earn 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter, and 1% back on all other purchases.

You'll also be eligible for a potentially lucrative sign-up bonus, which Discover phrases this way: "INTRO OFFER: Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 into $200. There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match." Because the card doesn't require you to charge a certain amount to get a bonus, there's no pressure to overspend. That's a plus for students on tight budgets.

All combined, these rewards and benefits can cover a few meals or maybe even a night out. Just make sure you pay off your balance in full each month to get the full benefit of rewards. Otherwise, interest can chip away at their value.

Reports to all three major credit bureaus

The Discover it® Student Chrome reports to TransUnion, Equifax and Experian. These companies gather the information used to calculate your credit scores. Included in that information is your payment history, a key factor in your scores. That’s why it’s important to pay your bill on time. Discover notes that there's no FICO history requirement for this card, but if you're approved and you demonstrate responsible use of the card, it can help you establish a credit history.

Light on fees

The Discover it® Student Chrome has a $0 annual fee, and it doesn't charge foreign transaction fees (although Discover's acceptance abroad is limited). Discover also lets you skip the first late fee if you run behind on a payment. On-time payments are important, but it’s nice to have this waiver when you’re starting out and getting into the habit of managing your credit card bills. Stay on track if you want to retain a healthy credit score and avoid a large late fee for a subsequent slip-up.

An introductory APR period

Higher rewards are available

If you're looking for a student card with more rewards potential, the Discover it® Student Cash Back could be a better choice. It earns 5% back on rotating bonus categories that change every quarter, on up to $1,500 in purchases per quarter (requires activation). All other purchases earn 1% back. Its rewards structure makes it significantly more complicated than the Discover it® Student Chrome, a downside for many students. But for those who have time to handle the complexity, it could be a more valuable choice. Previous bonus categories have included gas stations, grocery stores, restaurants and Amazon.com, among others. (See a list of current categories here.) Its annual fee is $0.

Poor international acceptance

The Discover it® Student Chrome is an ideal candidate for many students’ wallets. When you’re just starting out, a credit card that reports to all three credit bureaus is a top priority to help you establish credit. This card does that in addition to providing rare rewards-earning opportunities seldom offered on student credit cards. It's also easy to maintain since you don’t have to worry about activating rewards to earn them.

One instance when you might consider a different card is if you plan to study or vacation abroad at a destination that does not accept a Discover payment method. If that’s the case, other student credit cards might be better suited for your lifestyle.